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Lowballing Doesn't Work

Discussion in 'Lawn Mowing' started by Tn Lawn Man, Jul 17, 2006.

  1. Tn Lawn Man

    Tn Lawn Man LawnSite Senior Member
    Posts: 479

    First, let me say that I do not lowball intentionally.

    This Spring I adverstised in a neighborhood that had larger lawns and I accidentally bid way too low on the two houses that I got there. The reason I bid so low was because I was confused about what the HOA maintained and what was the homeowner's property.

    I really needed the lawns and I figured no big deal. I would go ahead and suck it up for this season and any new accounts I got I would price correctly.

    Then I got to thinking, Oh No, their neighbors are gonna find out and everyone on the block will want to switch to me at my incorrect low price.

    But, that did not happen.

    Now, understand, I know my work is top notch. It is better than most other lawns there. But, the others guys in the area are doing good work too.

    So, this goes to show that if you do good work and provide reliable service that people will not always dump you just to save a buck.

    All I succeeded in doing this season in this neighborhood was to short myself some $$$$$.

    Two lessons to be learned:

    1. Bid correctly

    2. Don't lowball

  2. CutInEdge Lawn Care

    CutInEdge Lawn Care LawnSite Senior Member
    Posts: 677

    No one said education was free!! Good Luck!!!
  3. S man

    S man LawnSite Gold Member
    Posts: 3,562

    One of my customers is next to this retired drunk that thinks he's my friend and wants me to cut his average size lawn for 20. I said at least 25 so he gets someone for 20 who needs the work because he only has 3 lawns but he does do good work. When he gets a lot of good lawns I bet that guy is the first to go.
  4. cantoo

    cantoo LawnSite Silver Member
    Posts: 2,910

    My wife and I made a mistake a few weeks ago while pricing a lawn. Behind the customers back I signaled her "how much"? She waved back full hands twice meaning $55.00 per cut. I shook my head no and gave her a thumbs up meaning that was too low and to price it higher ( looked like a pita guy to work for). She thought I meant it was too much and said $45.00 per cut to the guy. I almost died as soon as she said it but the "customer's" reaction was even better. He almost fainted at the price. A couple of more quick questions and answers and we were out of there. I then explained the hand signals to her and said good luck dealing with this ahole for $45.00. The guy has never called us and someone else is doing the lawn so I quess someone is doing it for even less.
  5. ALarsh

    ALarsh LawnSite Silver Member
    from Midwest
    Posts: 2,412

    Just because you didn't get the neighbors lawns doesn't mean lowballing doesn't work. Not all neighbors talk....

    Lowballing in fact DOES work, depending on your business plan.
  6. Brianslawn

    Brianslawn LawnSite Silver Member
    Posts: 2,004

    all the other neighbors are probably paying less already.
  7. topsites

    topsites LawnSite Fanatic
    Posts: 21,653

    That's the best one I've heard in a LONG time.

    On another note, lowballing does work, but I like highballing much better for the exact same reason why you were indicating higher!
  8. Tn Lawn Man

    Tn Lawn Man LawnSite Senior Member
    Posts: 479

    Not in this neighborhood. I have spoken with the homeowner several times. And, in fact, where I should have bid it is what her neighbors are paying.

    The reason that the neighbors likely do not leave their LCOs is probably for the same reason that one of my customers has not left me.

    You see there is an full time LCO living right across the street from one of my customers who charges $20 per yard where I charge her $30. She says that I have always been reliable and did a good job to her lawn. And that is enough for her.
  9. garth1967

    garth1967 LawnSite Senior Member
    Posts: 640

    this a good ,honest post TN.as somebody said earlier education aint free brother .well you live to fight another day. IMO a lowballer really only lowballs himself at the end of the day
  10. mower_babe

    mower_babe LawnSite Senior Member
    Posts: 790

    What business plan does it work with? I am confused.:dizzy:

    I agree w last poster - lowballing really busts your own ballz.

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